New Students- WSB 101

I decided to trade a bit differently today. I have been exiting my trades too early and not getting the chunk in the middle. I have been getting the crumbs off the floor. I bought puts on AAPL this morning. I have gone back to WSB 101 and Steve Nison's video on candlestick trading. I have started drawing lines on my charts for areas of support 1 and 2 and resistance areas 1 and 2. I went through and did this on every 34 minute chart of my expert stocks. It worked great today.

If you can follow this, I think you will clearly see how what Gary has taught us regarding support lines and resistance lines works very well, but you must know how to establish areas of support. Again, I made these decisions off my 34 chart. I have decided to used this chart for this period because I need to get more of the move, but follow safety procedures in the process.

Here we go....

First, APPL broke through my first level of support at 489.49, but I really do not like to enter on the first candle, so I waited until it dropped to about 487.57. I established a fairly weak area of support on the middle of that long white candle from yesterday at about 487.57. I entered the trade at 487.33- at the beginning of the 10:04 candle. Shortly after entering, my second level of support was broken at 486.61- again not a strong level but support was established. I knew my next range of movement was 486.61- 482.78 (next level of support at 482.78). When I hit the 11:12 candle, I drew the "old fashion" trendline. Remember, bottoms up, tops down? I picked up a line on the top of candles10:04, tip of 10:38 and the top of 11:12. I had three pretty good points. Gary taught us to find three good points to draw our trendline. Now, I followed the rules and rode the candles down my trendline. The 11:46 candle painted and hit my 482.78 support line. I stayed in because I did not get a close below. The 12:20 candle painted on the support line. I stayed in because neither my support line nor trendline was not broken. I knew I would either get a charge through the support line or a bounce back up. I also knew if another candle painted on that support line, my trendline would be compromised. Well, when I saw a lot of white painting on the 12:54 candle, and it had broken my trendline, but had not closed, I exited the trade. The rule says a close after the break is when you exit, but I felt strongly that I was on my third knock of the support line-with a white candle painting, so it was a strong possibility that it was going up. I exited at right at about 12:58 at 483.32. The $4 move was worth a tad over $500 for my brokerage account. Would I have loved to make more, yes, but greed will butcher a trader. Remember, take what the market gives you. Also, develop your trading style, and fine tune it. There are so many tools and trading approaches introduced in WSB. While you have an active forum that trade under this unique program, ask questions and gain guidance. Print off information that is being provided. This is all free and it works.

good trade.



Edited 1 time(s). Last edit at 10/03/2013 06:41PM by robert.

I am in one of my rare moments- sorry!

I have been listening to this book, "The Instant Millionaire". Folks, the person they have narrating this book is crippling me. I have listened to a lot of books, but this guy's voice is aweful! He continuously smacks his lips and sucks his teeth through the entire chapter. He takes these little pauses, and returns with this very low, "Bedroom Voice". They are playing this music that reminds me of wind chimes and light flutey sounds. I already have a very hard time concentrating sometimes with this ADD, so now, when listening to this book, it is much worse. I can basically visualize this guy in a room with dim lights, lying accross a bed of rose pedals-in his white Robe as he reads this darn book to me. I am in a corner of the room, listening to him and praying that he stays on that bed!

Me and my crazy imagination..... Have a great weekend!

I couldn't listen to Pring without falling asleep. Just saying his name makes me ZZZZZZZZ...Huh? Where was I? Oh boring Pring...ZZZZZZ...Who?

That's funny Rookie, and I also couldn't get through Pring's book without dozing. LOL